South Korean engineer smuggled out shopping bags full of secret SK hynix docs to give to Huawei

Thief stealing confidential documents
Thief stealing confidential documents (Image credit: Shutterstock)

A former employee of SK hynix was sentenced to 18 months in prison and fined ₩20 million ($14,300) for stealing critical semiconductor technology before moving to Huawei, reports the Korea Biz Wire. The court found her guilty of breaching South Korea's laws on industrial technology protection. However, the lax sentence indicates that prosecutors have failed to prove that Huawei had received the confidential information.

The defendant had worked at SK Hynix since 2013, beginning in chip defect analysis. In 2020, she became a team leader in business-to-business customer relations at the company's subsidiary in China. Her tenure provided access to sensitive technical documents essential to chip production. Then, in 2020, she decided to move on to Huawei (which pays a lot). But before resigning from SK hynix, the defendant printed approximately 4,000 pages of highly sensitive documents over four days.

These documents contained specific 'solutions to semiconductor manufacturing process issues,' considered core technology under South Korean law. She allegedly printed around 300 pages per day and concealed them in her backpack and shopping bags to avoid detection.

The Yeoju branch of the Suwon District Court ruled that her actions violated South Korea's Industrial Technology Protection Act. While she had argued that she printed the documents only for study and to ensure a smooth handover of responsibilities upon leaving, the court found her claims unconvincing.

In its ruling, the court observed that her behavior was highly suspicious, mainly as she printed the materials shortly before leaving SK hynix and accepted a higher-paying role at Huawei in June 2022. The court suggested that her intent was likely to use these materials to increase her value in the new position.

Despite these findings, the court handed down a relatively light sentence. The decision was influenced by the lack of direct evidence proving that the stolen technology had been used to justify a harsher punishment. Furthermore, SK hynix did not report any specific financial or operational damage from the incident.

The court's sentence also considered the robust security protocols SK hynix maintains. The company prohibits using USB drives or other external storage devices and closely monitors all printed material by recording content, user information, and intended use. However, the court noted that the Shanghai office's security appeared less rigorous, potentially allowing her actions to go undetected initially.

Anton Shilov
Contributing Writer

Anton Shilov is a contributing writer at Tom’s Hardware. Over the past couple of decades, he has covered everything from CPUs and GPUs to supercomputers and from modern process technologies and latest fab tools to high-tech industry trends.

  • Pierce2623
    I’d literally execute a guy willing to give away some of S Korea’s most valuable IP for a little money, if I wax in charge. That’s one of the many reasons I’m not in charge, though.
    Reply
  • newtechldtech
    Huawei are happy that they got rid of such a stupid engineer.

    instead of loading the document files in few seconds into a tiny flash , she turned them into papers and took her forever to print and smuggle them out and risked getting caught.

    If you can print 4000 pages then you have access to the files. why print them ?

    I think she is telling the truth ... she Just needed to study them and saved on ink cost ...
    Reply
  • Dementoss
    This article needs checking a bit.

    She printed 4000 pages, over 4 days, at 300 per day, are you sure about that?
    Reply
  • wawaplanets
    Why leave out the fact that the employee was a Chinese national? It is obvious that this important information was left out deliberately and instead highlighted "South Korean Engineer" in the title to obscure that fact. Other more serious and reputable websites have that information. Seems like Tom's themselves does not consider their work to be serious.
    Reply
  • sibirianvolk
    Pierce2623 said:
    I’d literally execute a guy willing to give away some of S Korea’s most valuable IP for a little money, if I wax in charge. That’s one of the many reasons I’m not in charge, though.
    ...That, and the fact that you wax doesn't help, me think....😆
    Reply
  • sibirianvolk
    newtechldtech said:
    Huawei are happy that they got rid of such a stupid engineer.

    instead of loading the document files in few seconds into a tiny flash , she turned them into papers and took her forever to print and smuggle them out and risked getting caught.

    If you can print 4000 pages then you have access to the files. why print them ?

    I think she is telling the truth ... she Just needed to study them and saved on ink cost ...
    If you actually read the article, you would have seen that usb/flash drives are specifically forbidden at that company, hence the resort to copying...
    Reply
  • bill001g
    This is old news unless she just now was sentenced to jail.
    Reply
  • sibirianvolk
    wawaplanets said:
    Why leave out the fact that the employee was a Chinese national? It is obvious that this important information was left out deliberately and instead highlighted "South Korean Engineer" in the title to obscure that fact. Other more serious and reputable websites have that information. Seems like Tom's themselves does not consider their work to be serious.
    Please enlighten us as to "WHY" do you think Tom's "hid" this crucial piece of info and "deliberately mislead us"? I burn to know the underlying conspiracy...
    Reply
  • newtechldtech
    sibirianvolk said:
    If you actually read the article, you would have seen that usb/flash drives are specifically forbidden at that company, hence the resort to copying...

    smuggling a flash stick is easier than 4000 papers :)
    Reply
  • ex_bubblehead
    newtechldtech said:
    smuggling a flash stick is easier than 4000 papers :)
    Not if security is on the ball. The simple act of inserting the stick would set off alarms and alert security to the exact PC that was just compromised. Or, USB ports are completely disabled by network policy.
    Reply